HP announces 2,000 more global redundancies amid cost-cutting drive

Hewlett Packard on Thursday revealed plans to slash up to 2,000 additional jobs as part of its ongoing restructuring initiative, bringing the total layoffs to 9,000 since the program began in November 2022.

The world's second biggest PC maker is expected to save an additional roughly US$300 million by the end of its 2025 fiscal year in October. The layoffs, which will vary by country based on local regulations and union negotiations, affect the American information technology giant's global workforce of 58,000 employees across 59 nations.

HP China didn't have immediate comments on Thursday.

HP's cost-cutting measures reflect broader industry pressures, including rising component costs and United States tariffs on Chinese imports, analysts said.

Despite a 2.4 percent revenue growth to US$13.5 billion in the first quarter, driven by a 10 percent surge in commercial PC sales, the company's profit outlook remains below analyst expectations

The tech sector continues to see workforce reductions, with the American trio of Meta, Google, and Microsoft also implementing layoffs in 2024-2025 to streamline operations amid economic uncertainties. HP joins this trend while pivoting toward artificial intelligence-driven growth.

Also on Wednesday, Mercedes-Benz China responded to widespread layoff rumblings at the German automaker, saying that it was carrying out business adjustments, which would inevitably affect some personnel.